A report by the Economic Times has revealed fresher data showcasing better success rates of the United Payments Interface (UPI), which was introduced by the National Payments Corporation of India (NPCI) as a mode of instant payment between bank accounts. As per the report, the transaction success rates had touched 87 percent in March 2019 as compared to 78 percent in April 2018.
While the NPCI does not reveal this data to the public, the Economic Times managed to source the same from bankers.
As per the new data, the rate of ‘declined transactions’ has gone down by around 2 percent in 2019 and so has the number of human errors that have dropped to around 10 percent from the previous 18 percent.
While human errors like entering the wrong PIN and insufficient balance are a part of the reason behind the increased decline rates, there are infrastructure and connectivity issues to blame as well.
As per Praveena Rai, Chief Operating Officer of NPCI, a high success rate for the customer was the focus and that it was the steps taken by the entire ecosystem and infrastructure level enhancements which led to a drop in transaction decline rates this year.
With connectivity improving every year and increasing familiarity of users with the UPI payments system, the report states that the rate of successful transactions is only expected to increase in the future.